The West Virginia Employee Stock Option Plan (AESOP) of Texas American Ranchers, Inc. is a financial incentive program offered by the company to its employees residing in the state of West Virginia. This attractive stock option plan allows eligible employees to purchase company shares at a predetermined price, commonly known as the exercise price, within a specified period. The AESOP is structured to motivate employees by giving them the opportunity to profit from the company's growth and success. By purchasing stock options, employees become partial owners of Texas American Ranchers, Inc., aligning their interests with the organization's long-term objectives. The West Virginia Employee Stock Option Plan offers several benefits to the employees participating in the program. Firstly, it provides a means for employees to potentially accumulate wealth by benefiting from the appreciation of the company's stock value over time. Secondly, it helps to create a sense of ownership and commitment among the employees, leading to increased productivity and loyalty towards Texas American Ranchers, Inc. There are different types of stock options available under the AESOP, which accommodate various employee needs and preferences: 1. Non-Qualified Stock Options (NO): Non-Qualified Stock Options provide employees with the right to purchase company stock at a predetermined price within a specific period. These stock options do not qualify for special tax treatment and are typically offered to a wide range of employees. 2. Incentive Stock Options (ISO): Incentive Stock Options, also known as qualified stock options, offer preferential tax treatment to employees. These options can only be granted to employees meeting specific IRS criteria, including being a full-time employee and holding the stock for a minimum period of time before selling it. 3. Employee Stock Purchase Plan (ESPN): An Employee Stock Purchase Plan allows employees to purchase company stock at a discounted price. The ESPN typically operates through payroll deductions, allowing employees to accumulate shares over time. The West Virginia Employee Stock Option Plan of Texas American Ranchers, Inc. plays a crucial role in attracting and retaining top talent by offering an opportunity for employees to share in the company's success. This comprehensive stock option program enhances the financial well-being of employees while promoting their active involvement in the organization's growth and progress.